Mich. Admin. Code R. § R 125.102

Rule 102. As used in these rules:
(a) "Development fund grant" means a grant that is authorized by the authority, and is to
be made to an applicant authorized by the act to receive a grant from the housing
development fund created by the act.
(b) "Development fund loan" means a loan that is authorized by the authority, and is to
be made from the housing development fund created by the act.
(c) "Dwelling unit" means living accommodations within a housing project that are
intended for occupancy by a single household.
(d) "Executive director" means the executive director or an individual acting within this
capacity employed by the authority who is the chief administrative officer of the authority.
(e) "Existing housing unit" means a housing unit that has been occupied before the
issuance of a commitment by the authority.
(f) "Family" means 2 or more individuals living together not contrary to law.
(g) "Feasible housing project" means a proposed housing project that the authority has
determined can reasonably be expected to be successfully constructed on the proposed site
within cost limitations acceptable to the authority and can reasonably be expected to be
operated in a fiscally sound manner, within authority parameters.
(h) "Gross income," for determining eligibility, means all income derived from whatever
source, as follows:
(i) In computing gross income, all the income of the members of the household, other
than minors, living in the same dwelling unit and contributing to the expenses of the
household is to be considered. Gross income must be computed without deduction for the
following:
(A) Funds paid into a tax shelter retirement account.
(B) Losses attributable to a farming syndicate as described in section 464 of the internal
revenue code, 26 USC 464.
(C) Losses attributable to any type of corporation or partnership engaged in exploring
for or exploiting oil and gas resources.
(D) Losses attributable to any type of corporation or partnership engaged in equipment
leasing.
(E) Losses attributable to any type of corporation or partnership engaged in holding,
producing, or distributing motion picture films or video tapes.
(F) Child support payments made by an applicant for the benefit of the applicant's child
or children.
(G) Alimony, separate maintenance, or similar periodic payments that an applicant is
required to make to a spouse or former spouse.
(ii) Gross income includes all of the following:

(A) The gross amount, before any payroll deductions, of wages; salaries; all overtime
earnings in excess of $4,000.00 per annum; commissions; fees; tips; bonuses; gambling
winnings; and prizes won, except for Michigan lottery winnings and prizes.
(B) The net income from the operation of a business or profession or from the rental of
real or personal property. For this purpose, if the operation results in a loss, the loss may
not be used to offset income generated from other sources. For this purpose, any
shareholder that owns 10% or more of any outstanding class of stock in a corporation is
deemed to have received income in its proportionate share of net earnings not otherwise
distributed in salaries or dividends.
(C) All dividends and interest, including otherwise tax-exempt interest.
(D)The full amount of periodic payments received from social security, housing
assistance payments, annuities, insurance policies, retirement funds, pensions, disability or
death benefits, and other similar types of periodic receipts.
(E) Payments in place of earnings, such as unemployment and disability compensation,
worker's compensation, and severance pay.
(F) The full amount of public assistance payments.
(G) Periodic and determinable allowances, such as alimony and separate maintenance
payments received, housing allowances received, and regular contributions or gifts
received from individuals who do not reside in the dwelling, if such sums are received on
a recurrent basis and if such sums may be reasonably expected to continue.
(H) The distributive share of partnership income.
(I) All capital gains.
(J) Child support payments received by an applicant for the benefit of the applicant's
child or children.
(iii) Gross income does not include any of the following:
(A) Casual, sporadic, or irregular gifts.
(B) Amounts that are specifically for, or in reimbursement of, the cost of medical
expenses.
(C) Lump sum additions to household assets, such as inheritances; insurance payments,
including payments under health and accident insurance; worker's compensation; and
settlements for personal or property losses.
(D) Amounts of educational scholarships paid directly to the student or to the
educational institution, and veterans administration schooling benefits.
(E) Foster childcare payments.
(F) The value of coupon allotments for the purchase of food pursuant to the food and
nutrition act of 2008, 7 USC 2011 to 2036d, which is in excess of the amount actually
charged the eligible household.
(G) Overtime earnings of $4,000.00 or less per annum.

History: 1979 AC; 1982 AACS; 1985 AACS; 1986 AACS; 1991 AACS; 1998-2000 AACS; 2023 AACS.